Mexican peso
Mexico |years= 1863–present |inflation= 4% (2013)[https://www.cia.gov/library/publications/the-world-factbook/fields/2092.html The World Factbook] |subunit= 1/100 centavo |symbol= $ or Mex$ |subunit-symbol= ¢ |AKA= varos, morlacos, money, lana, lucas, papiros, marimba, varonil, Sor Juana ($200 pesos note), feria, marmaja, billelle, pachocha, devaluados, billullos, villancicos, benitos, villanos, del águila, bolas, dinero |coins= 5 ¢, ¢, ¢, 20 ¢, 50 ¢, 1 $, 2 $, 5 $, 10 $, 20 $, 50 $, 100 $ |banknotes= 20 $, 50 $, 100 $, 200 $, 500 $, 1000 $ |central bank= Bank of Mexico |printer= Bank of Mexico |mint= ''Casa de Moneda de México'' }} The peso (sign: $'''; ISO code: '''MXN) is the current currency of Mexico. It was the first currency in the world that used the "$" sign as its symbol, which the United States dollar later adopted for its use.http://books.google.com/books?id=4ykDAAAAMBAJ&printsec=frontcover#PPA59,M1 The Mexican peso is the world's 12th most traded currency and by far the most traded currency in and the third most traded in all of .Triennial Central Bank Survey (April 2007), Bank for International Settlements. The current ISO 4217 code for the peso is MXN, but before the 1993 revaluation (see below), the code MXP was used. The Mexican peso is divided into 100 centavos, which are symbolized with a "¢". Its name was originally used to reference either pesos oro, meaning "gold weights" or pesos plata, meaning "silver weights". The literal translation for the word "peso" is "weight". As of April 5, 2011, the exchange rate of the peso equaled 16.81 per Euro and 11.82 per US dollar. As of September 20, 2015, the exchange rate of the peso equaled 18.80 per Euro and 16.63 per US dollar. History First peso coin from 1894.]] The peso was originally a name given to the eight-real coins issued in Mexico by Spain. These so-called Spanish dollars or pieces-of-eight underwent wide circulation in the Americas and Asia during the reign of the Spanish Empire until the early 19th century. After Mexico's independence was gained in 1821, the new government continued the Spanish monetary system of 16 silver reales equalling 1 gold escudo, with the peso of eight reals being the largest denomination. Paper money was also issued, denominated in pesos. During 1863, the first issue of coins denominated in centavos, worth one hundredth of a peso, occurred. This was followed in 1866 by coins with a denomination of "one peso". Coins denominated in reales remained circulated until 1897. In 1905, the gold content of the peso was reduced by 49.3%, but the silver content remained mainly unchanged (auxiliary coins were debased). However, from 1918 onward, the weight and fineness of all silver coins dropped until 1977, when the last silver 100 peso coins were minted. Second peso :For more information, see 1994 economic crisis in Mexico Throughout a majority of the 20th century, the Mexican peso has remained as one of the most stable currencies in Latin America, due to the fact that the currency has not experienced periods of hyperinflation, common to other countries in its region. However, after the of 1979, Mexico defaulted on external debt in 1982, as a result of which, Mexico suffered a severe case of capital flight and had experienced several years of inflation and devaluation until the government strategy called the Pacto de estabilidad y crecimiento económico, PECE ("Stability and Economic Growth Pact") was adopted under leadership by . On January 1, 1993, the Bank of Mexico introduced a new currency, the nuevo peso ("new peso"), given the ISO 4217 code "MXN", and written as "N$" followed a numerical amount. One new peso was at that point equal to 1000 obsolete pesos (MXP). Exactly three years later, on January 1, 1996, the modifier nuevo was dropped from the name, and coins and banknotes, which were still identical in every respect to the 1993 issue, with the exception of not having the word nuevo on it, were then circulated. The ISO 4217 code, however, still remained unchanged, still being "MXN". Due to the stability of Mexico's economy and growth in foreign investment, the Mexican peso is one of the 15 most traded currency units in years; since the late 1990s the peso has been traded at about 9 to 15 pesos per United States dollar. Foreign use currency during the Bakumatsu period, equal to 3 bu.]] The Spanish dollar or Mexican peso was widely used by the United States during its early times as a country. By a decree from July 6, 1785, the value of the United States dollar was set to be approximately equal to the Spanish dollar, both of which were based off the weight of silver coinage. The first United States dollar coins were not issued until April 2, 1792, and the peso was therefore used, being officially recognized along with other foreign coins, until February 21, 1857. In Canada, the peso remained legal tender, along with other foreign silver coins, until the nation began circulating its own coins in 1854.See here The Mexican peso was also the model for the Straits dollar, the Hong Kong dollar, the Japanese yen, and the Chinese Renminbi.See here The term, Chinese yuan, refers to the round Spanish dollars, Mexican pesos, and other 8 real coins which were used in China during the 19th century. Today, there are some places outside of Mexico that accept pesos as currency, particularly in the United States border areas. During 2007, , a chain of pizza restaurants located in the southwestern United States began accepting the peso, which is a controversial topic in the US. Other locations outside of Mexico that use the Mexican peso are border towns of Guatemala and Belize. Coinage 19th century .]] The first coins of the Mexican peso were minted in 1863 with a value of one centavo. , ruler of the Second Mexican Empire from 1864 to 1867, issued the first coins with the word "peso" on them. Maximilian's portrait was displayed on the obverse of the coins with a legend saying "Maximiliano Emperador", while the reverse displayed the coat of arms of the empire as well as the legends "Imperio Mexicano", "1 peso", and the date of minting. These were struck from 1866 to 1867. The new Mexican Republic continued striking the 8 reales coin, but also began to mint coins denominated as centavos and pesos. Copper one centavo coins were issued as well as silver coins with denominations of 5, 10, 25, and 50 centavos and 1 peso were introduced from 1867 to 1869. Peso coins denominated at values of 1, 2½, 5, 10, and 20 pesos were issued in 1870, being composed of gold. The obverse of these coins featured the "eagle" of Mexico and below "Republica Mexicana". The reverses of larger denominations showed scales, while smaller denominations only displayed their values. Coins valuing one peso were issued from 1869 to 1873, at the time that 8-real coins once again started circulating. Cuponickel coins at denominations of 1, 2, and 5 centavos began issuing in 1882, but were only minted for two years. The one-peso coin was reintroduced during 1898, with the design of the being carried over from the 8-real coins. 20th century .]] During 1905, a monetary reform was issued, which reduced the gold standard of the peso by 49.36% and made silver coins (with the exception of the one-peso coin) reduced to token issues. During the time, bronze 1 and 2 centavos, nickel 5 centavos, silver 10, 20, and 50 centavos, and gold 5 and 10 peso coins were issued. In 1910, a new one-peso coin was issued, the "Caballito" (horse), which is still considered one of the more appealing Mexican coins. The coin's obverse featured the official coat of arms of Mexico and the legends "Estados Unidos Mexicanos" (United States of Mexico), and "Un Peso". The reverse displayed a woman riding a horse, her hand lifted high, as well as its year of minting. These coins were minted in .903 silver from 1910 until 1914. From 1917 to 1919, gold coinage expanded to include 2, 2½, and 20 peso coins. However, circulation issues of gold coinage ceased during 1921. In 1918, the peso coins were lowered in value, bringing it into line with the silver 10, 20, and 50 centavo coins. All of these were minted in 0.800 fineness to a standard of 14.5 g to the Mexican peso. The design of the Phrygian cap, which already appeared on other silver coins, was added to the peso. Another lowering in value during 1920 reduced the fineness to 0.720 with 12 g to the peso. Ten and 20 centavo coins composed of bronze were introduced in 1919 and 1920, but coins at those denominations were also minted in silver until 1935 and 1943, relatively. In 1947, more denominations were struck in silver, with the 50 centavos and 1 peso coin in .500 fineness, and a newer 5 peso coin in .900 fineness. A portrait of appeared on the 1 peso coin, and remained on it until 1987. The silver content of this series equaled 5.4 g to the peso. A new portrait of Morelos appeared later on the 1 peso coin, with , of , on the 50 centavos coin, and on the 5 peso coin. No reference to the silver content was made except for on the 5 pesos. During this time the 5 peso, and to a smaller extent, the 10 peso, coins were also used as vehicles for commemorative strikings. In 1955, a new 50 centavo coin composed of bronze was introduced, along with smaller 5 peso coins and a new 10 peso coin. During 1957, new 1 peso coins were issued in .100 fine silver. This series equaled 1.6 g of silver per peso. A commemorative 1 peso coin was minted in 1957 to commemorate one-hundred years since the and President . These were the last silver pesos produced. The 5 peso coin now weighed 18 g and was still 0.720 silver, while the 10 peso coin weighed 28 g and was minted in 0.900 silver. coin from 1988.]] From 1960 to 1971, new coinage was introduced, consisting of brass 1 and 5 centavos, cupronickel 10, 25, and 50 centavos, 1, 5, and 10 pesos, and silver 25 pesos. In 1977, a silver 100 peso coin was issued for circulation. Smaller 5 peso coins were introduced alongside 20 and 50 pesos composed of cupronickel in 1980. From 1978 to 1982, the size of 20 centavos and higher denominations were reduced. From 1984 to 1988, base metal 100, 200, 500, 1000, and 5000 pesos were introduced. Nuevo peso As noted above, the nuevo peso ("new peso") was developed as a result of hyperinflation in Mexico. During 1993, President removed three zeros from the old peso, making one thousand old pesos equal to one nuevo peso. The change between pesos went into effect on January 1, 1993 from January 1, 1996. During this time, people traded in the old peso notes and coins in exchange for new pesos. At the time, the word "nuevo" was removed from all the new minted currency, and anything with "nuevo" on it was removed from circulation, making the currency and notes to be denominated as just "peso" again. The government avoided confusion by making the nuevo peso almost identical in appearance to the old peso. Both currencies were circulated simultaneously, but the currency that only said "peso" was taken out of circulation. The Bank of Mexico (Banco de México) then issued new currency with different designs, also under the nuevo peso. These were followed by the current, almost identical, peso currency with the word nuevo before it. During 1993, coins of the nuevo peso (dated 1992) were issued in denominations of 5, 10, 20, and 50 centavos, 1, 2, 5, 10, 20, and 50 pesos. The centavo coins were composed of base metals; the 5 and 10 centavos were made of stainless steel while the 20 and 50 centavos were made of aluminum bronze. The peso denominations were bimetallic; the 1, 2, and 5 peso coins have aluminum bronze centers and stainless steel rings, while the 10, 20, and 50 pesos have .925 silver centers and aluminum bronze rings. In 1996, the word "nuevo" was removed from coinage. A new 10 peso coin was introduced that had a base metal center. Currently, the 20 and 50 peso coins are the only circulated coinage globally that contain silver. In 2003, the Bank of Mexico began circulating a new series of $100 coins. These coins number 32, one for each of Mexico's as well as the . The obverse of these coins features the standard coat of arms of Mexico, while their reverses display the individual coat of arms of each state. The first states celebrated were , , , and . In circulation these coins are extremely rare, but their novelty value compensates for the unease many users feel at having such a large amount of money in only one coin. Though the Bank of Mexico has encouraged users of the peso to collect full sets of the coins, issuing display folders for the purpose, the high cost has worked against them, in comparison to the similar 50 States Quarter program by the United States. Bullion versions of these are also available, with the outer ring being composed of gold, rather than aluminum bronze. Coins commonly found in circulation are at values of 50¢, $1, $2, $5, $10, and $20. The $50, 10¢, and 5¢ coins are rarely used in circulation, and are disliked by many users for having either a too low or high value. The 20 peso coin is not used as widely as the corresponding banknote. As of late 2006 and early 2007, the use of the 20 centavo coin is gradually declining. Small goods are priced at multiples of 10 centavos, but stores may choose to round total prices to 50 centavos. In Mexican supermarkets, there is a trend to ask customers to donate those cents to charities so they can round the amount up to 50 centavos or 1 peso. Banknotes First peso :See also: Imperial Mexican peso .]] The first banknotes issued by Mexico were printed during 1823 by the First Mexican Empire under in denominations of 1, 2, and 10 pesos. Similar issues were made by the new Mexican Republic during the same year. Emperor Maximilian of the Second Mexican Empire issued 10 peso notes in 1866, but until the 1920s, banknote production was entirely in hands of private banks and local authorities. During 1920, the Monetary Commission (Comisión Monetaria) issued 50 centavo and 1 peso notes while the Bank of Mexico was issuing 2 peso coins. From 1925, the Bank of Mexico began issuing notes in denominations of 5, 10, 20, 50, and 100 pesos, followed by 500 and 1000 pesos in 1931. From 1935, the Bank of Mexico began circulating 1 peso notes again, and from 1943, began issuing 10,000 peso notes. The production of 1 peso notes ended in 1962, followed by the 5 pesos in 1971, the 10 and 20 pesos in 1977, the 50 pesos in 1984, 100 pesos in 1985, 500 pesos in 1987 and 1000 pesos in 1988. In 1981, 5000 peso notes were introduced, and in 1983, the 2000 peso note followed, which was followed by the 20,000 peso note in 1985, the 50,000 peso note in 1986, and the 100,000 peso note in 1988. Second peso Series B and C During 1993, banknotes were introduced for the nuevo peso at values of 10, 20, 50, and 100 pesos. These are designated as Series B by the Bank of Mexico (note that this series is not the one or two letter label printed on the banknotes themselves). All of these were printed with the date July 31, 1992. These designs were taken from the corresponding notes of the old peso. During October of 1994, Series C was issued, which featured new designs to avoid confusion between the currency change, as well as a new denomination of 500 pesos. The word "nuevos" remained on the peso. They were printed with the date December 10, 1993. Series D The next banknote series, designated as Series D, was introduced during 1996. It is a modified version of its predecessor, with the word "nuevos" removed, the old bank title, "El Banco de México" replaced with "Banco de México", and the clause "pagará a la vista al portador". There are also numerous printed dates for each denomination. During 2000, a commemorative series of banknotes was issued, which was similar to Series D, with the exception of additional text, reading "75 aniversario 1925–2000", which refers to the 75th anniversary of the bank, under the bank's title. Series D was the last series to have printed the 10 peso note, which still remains as Mexican legal tender but seldom seen anymore because printing of the denomination has ceased. The 10 peso coin is more commonly seen in circulation. Beginning in 2001, each of the denominations of Series D kept gradually being upgraded. On October 15 of the year, in an effort to make counterfeiting more cumbersome, notes of values of 50 pesos and above were modified with the addition of a colorful strip. On the notes with denominations of 100 pesos and above, the denomination is printed in color-changing ink in the top-right corner. On September 30, 2002, a new 20 peso note was introduced, which was printed on longer-lasting polymer rather than paper. On November 15, 2004, a new 1000 peso note was introduced. The changes made to 20, 50, and 1000 peso notes during these changes are referred to as series D1 by the Bank of Mexico. 'Tactile patterns' On April 5, 2004, the (Cámara de Diputados) approved a measure demanding that the Bank of Mexico produce notes and coins identifiable by the blind population of about 1 million individuals (an estimated 750,000 visually impaired citizens and 250,000 completely blind citizens). On December 19, 2005, the Bank of Mexico, in accordance to the measure, issued 100, 200, and 500 peso notes with raised tactile patterns similar to , meant to make identification of notes easier for citizens with vision incapacities. This system has been questioned by some Mexicans, and many demand that the Bank of Mexico include actual Braille rather than the tactile patterns so that the notes may be recognized by foreigners who are not used to the symbols. The Bank of Mexico, however, states that they will remain using the symbol bills. 'Table' Below is a table concerning banknotes of the Mexican peso's Series D. To view the entire table, click the button. Series F During September 2006, the Bank of Mexico announced the gradual launch of a new series of banknotes, known as Series F. The first of these notes to be issued was the polymer 50 peso note in November 2006. This was followed by the 20 peso note in August 2007, and the 200 and 1000 peso notes in 2008. The last notes, the 100 and 500 peso notes, were released in August 2010. Commemorative notes In 2010, the Bank of Mexico introduced the first commemorative banknotes of its country in two denominations, 100 and 200 pesos. The 100-peso note commemorates 100 years since the Beginning of the , which lasted from 1910 to 1920. The 200-peso note commemorates 200 years since the start of the Mexican War for Independence, which began in 1810. On the 100-peso note, there was an almost unnoticeable printing error. In small letters, near the top-right corner of the reverse, just above the transparent corn to the side of "La Revolución contra la dictadura Porfiriana", is the text "Sufragio electivo y no reelección" (Elective suffrage and no reelection), supposed to be a quote of . However, Madero's quote was "Sufragio efectivo no reelección" (Valid Suffrage, No Reelection). President apologized for this in the newspapers, and stated that the notes were going to remain in circulation and keep their value. Exchange rates References * }} Category:Mexican peso Category:Currencies of Mexico Category:Currencies with an ISO 4217 code Category:Circulating currencies